Silver leads gold lower on profit-taking pressure
Gold and silver prices are down near midday Thursday, with silver once again leading the way. Profit-taking from the shorter-term futures traders is featured in both markets, following recent gains that have started new near-term price uptrends. April gold was last down $25.20 at $5,191.30. March silver prices were down $4.238 at $86.81.
The key outside markets today see the U.S. dollar index a bit firmer, with crude oil prices up and trading around $66.50 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently around 4.05 percent.
Note: The gold market operates through two primary pricing mechanisms. The first is the spot market, which quotes prices for on-the-spot purchase and immediate delivery. The second is the futures market, which sets prices for delivery at a future date. Due to year-end positioning market liquidity, the December gold futures contract is currently the most actively traded on the CME.
April gold futures bulls’ next upside price objective is to produce a close above solid resistance at $5,400.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $4,854.20. First resistance is seen at this week’s high of $5,269.40 and then at $5,300.00. First support is seen at this week’s low of $5,109.50 and then at $5,100.00. Wyckoff's Market Rating: 7.0.
March silver futures bulls see the next upside price objective is closing prices above solid technical resistance at $100.00. The next downside price objective for the bears is closing prices below solid support at the February low of $71.815. First resistance is seen at $88.00 and then at the overnight high of $90.255. Next support is seen at this week’s low of $84.56 and then at $82.50. Wyckoff's Market Rating: 6.5.
